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INDUSTRY EVENTS NORTHEAST WINTER SPORTS SUMMIT 2009 Right after the Labor Day weekend, the New England gathered at the Mount Washington Hotel and Bretton Woods ski area for the Northeast Winter Sports Summit. Over 329 people from 64 ski areas networked, attended sessions and cruised the trade show hall where 230 vendor attendees exhibited their products. Below are some session recaps, some great pictures and video interviews from the show. Efficiency was the key word in just about every session. It’s even implicit in Michael Berry’s call to arms on trial and conversion. From grooming and snowmaking to electrical power and erosion control, the focus is on achieving better results for less money. The Prinoth Solution Marvin Collins outlined the costs associated with excessive idle time and touted the Prinoth Isaac solution, a GPS-based tracking system that helps managers understand what’s happening with groomers over the course of a shift. The Isaac Data Collector reveals travel patterns and points out overlaps; it records data on grooming time, acres/hour, fuel/hour and other statistics, and can report on the cost of grooming. All this helps pinpoint procedural strengths or weaknesses, operator idiosyncrasies, and other useful information. The aim is to allow managers to analyze the data and advise drivers on how to become more efficient. Use it to show operators the costs of idling or running at higher rpm than necessary, he suggested, and explain what your resort’s goal are. Collins pointed out that it’s not possible to eliminate all idle time; six percent is needed just for startup and cooldown, and 12 percent is the least idle time he’s seen in practice. Currently, the average is about 30 percent idle time; Collins suggested that an average in the low 20s is both realistic and desirable, for both economic and environmental reasons. Adaptive Automation Geir Vik of TechnoAlpin reviewed the merits of both fully-automatic, self-adjusting guns and pumphouses, and operator-managed, remote-controlled snowmaking of individual guns. He estimated the ROI on a fully automatic system at 4.4 years, and on a remote system at 4 years. Initial cost on the fully automated system is higher, he noted, but the long-term saving are greater, due to reduced labor costs. Discussion centered on the nitty-gritty practical details of snowmaking, such as how automated guns determine wet bulb temperature and the impact this can have on snow quality. Vik acknowledged that no system is perfect, but maintained that the efficiencies (lower cost and higher production) of automation make it increasingly practical, if not essential for competitive survival. Introduction to Slope Protection Technology Pete Hanrahan of Everett J Prescott, Inc., demonstrated a variety of cost-effective and eco-friendly erosion control solutions for banks and slopes. These included woven blankets and mats that help anchor vegetation and support its growth to “hard armor” solutions. Many of the options presented produce a natural look; even steep banks and near-vertical walls can be constructed to create a “living wall” of vegetation. The goal of the session was to show the surprising range of relatively inexpensive and visually appealing options to rip rap and concrete, and it certainly accomplished that. Resort Energy: What’s Next? Mark Kane of SE Group led a panel discussion that focused on energy efficiency and development of renewable sources, including Bolton Valley’s new 100kW wind turbine, a smaller version of the turbine at Jiminy Peak. Conservation and reliance on long-term power contracts are no- or low-cost solutions to cutting energy bills (or to slow their rise). The key goals: to reduce waste, and use energy wisely. In Bolton’s case, the ROI is five to seven years; initial expense was roughly $800,000, but the resort reduced that by a third, through governmental and power company grants, tax breaks, financing, and other tactics. Plus, that initial expense includes infrastructure that will support additional turbines (up to 9) in the future; current costs to add a 100kW unit are roughly $500,000. And the benefit, beyond the ROI? Wind turbines can help stabilize prices, provide service in remote locations, help resorts meet sustainability goals, and boost the brand. New, smaller turbines like Bolton’s are an example of how quickly the technology is changing; even if you are not ready to jump into the wind energy business today, it makes sense to conduct feasibility studies now. Then, as the technology evolves, you’ll be ready to take the plunge when the time is right. Introduction and Retention Roundtable Following up on Michael Berry’s keynote address on conversion, Greg Sweetser, Alice Pearce, and Mary Jo Tarallo reviewed a variety of programs to increase trial and conversion. All three urged areas to take part in Learn a Snow Sport Month (January) and to provide incentives for first-timers to try skiing and snowboarding. Sweetser briefly described a few big area/small area promotions in which the bigger area sent instructors and rental gear to the smaller, to bring a more complete introductory experience to community slopes. Size being relative, one of these programs teamed mid-sized Shawnee Peak with pint-size Powderhouse Hill. Thom Perkins, one of the rare XC operators in attendance, made several key observations: ski school is both profit center and part of a resort’s marketing effort; beginners often learn more easily and faster on XC gear than on alpine; and inclusiveness has to become part of the culture of the sport. More than one person suggested that PSIA needs to focus more on service, being friendly to beginners, and the marketing of the introductory experience. Managing Uncertainty Consultant Nicole Voth led a discussion on the penny-pinching consumer, and how this change will impact resorts. The good news is that Americans are valuing experiences over possessions. A key part of experience is socializing, which also plays to the advantage of winter sports. Voth advised resorts to offer “transformational” experiences, which peel consumers away from their safety zones and take them to new levels of achievement, accomplishment, and self-worth. “Transformational experiences don’t cost more to produce, but have greater value,” she pointed out. Create environments that facilitate these transformational experiences. Deepen relationships with your customers. If you must cut positions, make sure you’ve cut all possible G&A expenses first, then be selective, get rid of redundancies (things you have always done, but don’t know why), and in areas that customers don’t care as much about. Boomer-Bust: Why Conversion is more critical than ever. Northeast Winter Sports Summit from SAM Magazine on Vimeo. KarmaArmy.com with Senan Gorman of North Pole Designs KarmaArmy.com from SAM Magazine on Vimeo. Bretton Woods Canopy Tour: Design, Investment, ROI Bretton Woods Canopy Tour - Business Plan from SAM Magazine on Vimeo.
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